One in 10 parents 'fronting' car insurance for children

One in 10 parents of young drivers admit to fronting car insurance for their offspring at some point, according to research.

30 SEPTEMBER 2015 | BY CINTIA CHEONG

A survey of 1,000 parents of drivers aged 17-25 found 9.3% admitted to fraudulently claiming themselves to be the main driver of a car when, in reality, most or all of the driving is done by their child. 

Of those admitted to fronting, more than a third (37%) of parents are currently fronting their child's insurance and they do so for an average of 2.3 years. 

The main reason for parents to do so was to save their children money, but The Co-operative Insurance, who conducted the survey, warned: "The implications of fronting can be serious and in some cases it could make it extremely difficult for drivers to obtain insurance later if they are found to have fronted."

The majority (73%) of parents fronting had children with full driving licenses and 27% were fronting for children with provisional licenses.

Some 81% of respondents were aware the practice was illegal. However, despite this, 94% believed they would be covered if they had to make a claim. 

Fathers are more relaxed than mothers when it comes to fronting, with 10% of dads willing to admit to it compared with 8% of mums. 

Of those fronting, 14% said they would do it again in the future. The average amount parents believed they had saved through the practice was £299. 

According to the survey, the North East of England is the region where most of the fronting takes place. 

Steve Kerrigan, head of telematics at The Co-operative Insurance, said: "While many parents think that they are doing their children a favour by fronting insurance for them, in reality the consequences of doing this could be serious and costly if, for example, they need to make a claim. When it comes to provisional drivers what seems to be a harmless act could even lead to a loss of license."

"Insurers such as ourselves are increasingly pricing car insurance based on the riskiest drivers rather than who is presented as the main driver in an effort to combat the impact of fronting."

Kerrigan said young drivers could use telematics to keep costs down "as these price on how the young person drives, rather than looking simply at their age as a risk rating".

Ranking of regions by number of parents currently fronting:

1. North East
2. Yorkshire
3. South East
4. West Midlands
5. London
6. North West and Northern Ireland
7. East Midlands
8. East Anglia
9. Wales
10. South West